Vietnam Deposit Rates Hit 9.2% at Some Banks; SBV Urges Credit Support

Overview

Vietnamese deposit rates are rising sharply, with some commercial banks offering up to 9.2% per annum for 6-month terms. This trend, highlighted by recent customer reports at VPBank and SHB, comes as the State Bank of Vietnam (SBV) pushes banks to expand credit support for businesses. The divergence between rising deposit costs and lending rate cuts could squeeze bank margins, affecting major listed lenders like VPB, SHB, BID, VCB, CTG, MSB, STB, and TPB.

Key Facts

• VPBank (VPB) raised its online 6-month deposit rate to 8.8% per annum, up 80 basis points from two weeks prior, with no conditions attached.
• SHB offered 9.2% per annum for 6-month deposits of VND 1 billion as of August 28, up 20 basis points from two weeks earlier.
• State-owned banks offer significantly lower rates: Agribank’s highest over-the-counter rate is 6% for 24-36 month terms; Vietcombank’s online 6-month rate is 3.5%.
• As of July 31, total system credit outstanding reached VND 20.26 quadrillion, up 8.98% from end-2025; 77.3% of loans went to production and business.
• The SBV has requested banks to build credit programs and products to support business access to capital, including preferential rates and fees.
• By August 24, 12 commercial banks had registered or announced credit programs totaling about VND 408 trillion, with four state-owned banks committing VND 220 trillion (Agribank VND 70T, BIDV VND 50T, Vietcombank VND 50T, VietinBank VND 50T).
• Eight joint-stock banks, including SHB, MSB, Sacombank, BVBank, Nam A Bank, NCB, Saigonbank, and TPBank, are participating with about VND 188 trillion.

What Happened

Deposit rates at Vietnamese commercial banks continue to climb, with some institutions now offering yields near 9% for short-term deposits. A customer at VPBank reported that after rolling over a VND 1 billion savings account, she received an online rate of 8.8% per annum for a 6-month term, up 2.4 percentage points from her previous rate and 80 basis points higher than two weeks prior. Similarly, an SHB customer noted that the bank’s 6-month rate for deposits of VND 1 billion reached 9.2% per annum on August 28, up 20 basis points from two weeks earlier.

Meanwhile, the State Bank of Vietnam has issued a directive urging banks to proactively develop credit programs and products to support business access to capital, including preferential interest rates and fees. As of August 24, 12 commercial banks had registered or announced credit programs totaling approximately VND 408 trillion, aimed at channeling funds into economic growth drivers and small and medium-sized enterprises. The four state-owned banks—Agribank, BIDV, Vietcombank, and VietinBank—committed VND 220 trillion, while eight joint-stock banks, including SHB, MSB, Sacombank, and TPBank, pledged about VND 188 trillion.

Market Context

Rising deposit rates are a key concern for the banking sector, as they increase funding costs and pressure net interest margins. The affected tickers trade on HOSE (VPB, SHB, BID, VCB, CTG, MSB, STB, TPB) and HNX (some smaller banks). Recent price data shows VPB closed at VND 27,800, SHB at VND 12,200, BID at VND 36,850, and VCB at VND 60,100 on September 1, 2026. The sector faces a delicate balance: while the SBV pushes for credit growth to support economic expansion, banks must manage deposit costs to protect profitability. The divergence between state-owned and private banks’ rates highlights competitive pressures, with private banks offering significantly higher yields to attract deposits.

Strategic Significance

For long-term investors, the current deposit rate environment signals a tightening liquidity situation and intensifying competition for retail deposits. Banks with strong deposit franchises, such as the state-owned giants, may be better positioned to manage funding costs, while private banks like VPB and SHB may see margin compression if they cannot pass on higher costs to borrowers. The SBV’s directive to support business credit, coupled with lending rate cuts of 0.2-0.7% for SMEs, could further squeeze margins. However, banks that successfully execute their credit programs may benefit from increased loan volumes, offsetting some margin pressure. The strategic focus should be on banks’ ability to balance deposit growth with asset yields and maintain asset quality amid economic headwinds.

What to Watch

• Q3 2026 earnings reports from VPB, SHB, BID, VCB, and others for net interest margin trends.
• SBV policy actions, including any adjustments to the refinancing rate or reserve requirements.
• Deposit rate movements at major banks over the next few weeks; a sustained rise above 9% could signal systemic funding stress.
• Implementation of the VND 408 trillion credit programs and their impact on loan growth and asset quality.
• Foreign ownership changes in banking stocks, as rising rates may attract or deter foreign investors.